Skip to main content
Message Font: Serif | Sans-Serif
No. of Recommendations: 2
Can Trepanne Capital Management set up a Single-Participant 401(k), put Mrs. Trepanne & I both on the payroll, make zero employer contributions,allow each of Mrs. Trepanne and I to make elective contributions of $15,000 apiece, allow each of us to immediately borrow back half the money

In addition to Badger's comment about the loans, let's make sure the Mrs. is actually working for the corporation doing something worth the salary. Otherwise her participation smacks of fraud.

You don't mention it, but I assume that you understand that you and the Mrs. will owe full income and employment taxes on the salaries, in addition to the corp's payroll tax liability.

Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.